Group 1 - The core viewpoint is that American manufacturing faces severe challenges from China's manufacturing capabilities and cost advantages, making it difficult for the U.S. to compete [1][3]. - China's strong manufacturing capacity has led to significant disruptions in global industry, with Western companies often forced into price wars when China decides to mass-produce a product [3][5]. - The rise of China's Beidou system has drastically reduced the prices of American GPS chips from thousands of dollars to around one dollar, illustrating the competitive pressure [3]. Group 2 - China's industrial strategy has transformed high-tech, high-profit products into consumer goods, significantly altering market shares and driving profound changes in global industrial structure [5][6]. - The efficiency and speed of Chinese manufacturing are remarkable, with small furniture companies able to complete the entire process from design to shipment in just 48 hours, reshaping global supply chains [6]. - Chinese brands are rapidly capturing market share in sectors like action cameras, forcing traditional American giants to lower prices, which compromises their profit margins and hinders R&D investment [6]. Group 3 - Despite attempts by some American companies to shift supply chains to other countries, China's central role in global manufacturing remains unshakable, as evidenced by Apple's continued reliance on Chinese suppliers [8]. - The Pearl River Delta in China continues to be a major supply base for electronic components, a position that is unlikely to be replaced in the short term [8].

Fundraising Overview - The company raised a total of RMB 855,200,000.00 by issuing 20,000,000 shares at RMB 42.76 each, with a net amount of RMB 772,852,134.13 after deducting fees [1][2] - As of June 30, 2025, the company has used RMB 560,266,964.89 of the raised funds, leaving a balance of RMB 105,127,860.81 [1][2] Fund Utilization - The company committed to invest in three projects: the construction of an electronic component production base in Changsha, the establishment of the Fan Hai R&D Center, and the replenishment of working capital [2][3] - The utilization rate of the raised funds is 72.49% as of June 30, 2025 [2] Project Adjustments - The company has made adjustments to the investment amounts and internal structures of the projects to enhance the efficiency of fund usage, particularly reallocating funds from the Changsha production base project to the R&D center [3][4] - The total investment for the Changsha project was adjusted from RMB 74,794.78 million to RMB 71,646.67 million, reflecting a decrease of RMB 3,148.11 million [2][3] Fund Management - The company has established a dedicated account for the management of raised funds, ensuring that these funds are not used for other purposes [1][2] - The company has engaged in cash management for temporarily idle funds, with a maximum of RMB 60,000.00 million allocated for safe, liquid investments [4][5][6] Project Performance - The projects funded by the raised capital are expected to generate benefits, although some projects are still in the trial operation phase and cannot yet be evaluated for individual profitability [7][8] - The construction of the Changsha production base is projected to be completed by December 2025, with ongoing procurement of equipment to enhance operational efficiency [8]